Cairo: SandP Global Ratings has upgraded Egypt's long-term sovereign credit rating to 'B' from 'B-', while maintaining a stable outlook. The agency also affirmed the 'B' short-term sovereign credit rating.
According to Emirates News Agency, the stable outlook reflects Egypt's improving growth prospects and balance of payments trends, despite challenges such as high government deficits and debt, including external commercial obligations.
The upgrade is attributed to a series of reforms implemented over the past 18 months, notably the liberalization of the foreign exchange regime. These measures have contributed to a significant rebound in GDP growth, particularly in fiscal 2025.
Egypt experienced a slowdown in real economic growth to 2.4% in fiscal 2024. However, following a key exchange rate adjustment in March 2024, economic activity has surged, with growth climbing to 4.4% in 2025. The economic outlook for 2026-2028 is positive, with growth expected to average 4.8%.